NPV & IRR worksheet with answers

Free printable NPV & IRR worksheet: 6 problems from easy to exam level, with an answer key. Print it or save it as a PDF.

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Name: ____________________   Date: ____________

1.Easy
years012345−50 0008 00013 50010 00017 50012 000

A project costs €50 000 today and returns €8 000, €13 500, €10 000, €17 500, €12 000 at the end of years 1 to 5. Assume cash flows arrive evenly through each year. Find the payback period PB in years.

CF0 = −50 000CF1 = 8 000CF2 = 13 500CF3 = 10 000CF4 = 17 500CF5 = 12 000
PB = years
2.Easy
years012345−20 0006 5006 5006 5006 5006 500

A project costs €20 000 today and returns €6 500 at the end of each year for 5 years. The required rate of return is 6%. Find the net present value NPV.

r = 6%CF0 = −20 000CF1 = 6 500CF2 = 6 500CF3 = 6 500CF4 = 6 500CF5 = 6 500
NPV = €
3.Medium
years0123…9−200 00020 000+3%+3%…r = 12%, NPV = ?

A project costs €200 000 today. It generates €20 000 at the end of the first year, and the cash flow then grows by 3% per year forever. The cost of capital is 12%. Find the net present value NPV.

C0 = €200 000CF1 = €20 000g = 3%r = 12%
NPV = €
4.Medium
years0123−30 00012 00014 00011 000

An investment of €30 000 gives these cash flows at the end of years 1 to 3: €12 000, €14 000, €11 000. The cost of capital is 10%. Find the net present value NPV.

r = 10%CF0 = −30 000CF1 = 12 000CF2 = 14 000CF3 = 11 000
NPV = €
5.Hard
years01234−20 00010 5007 5007 50011 500

A project costs €20 000 and returns €10 500, €7 500, €7 500, €11 500 at the end of years 1 to 4. Cash flows can be reinvested at the cost of capital of 6%. Find the modified internal rate of return MIRR in percent.

r = 6%CF0 = −20 000CF1 = 10 500CF2 = 7 500CF3 = 7 500CF4 = 11 500
MIRR = %
6.Hard
years0123…9−80 00015 50015 50015 50015 500

An investment of €80 000 returns €15 500 at the end of each year for 9 years. Find its internal rate of return IRR in percent.

C0 = €80 000CF = €15 500n = 9
IRR = %

Answer key

  1. 1. PB = 4.083 years
  2. 2. NPV = 7380 €
  3. 3. NPV = 22222 €
  4. 4. NPV = 743.8 €
  5. 5. MIRR = 19.2 %
  6. 6. IRR = 12.85 %

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